The deadline to finalise your personal income tax is just around the corner. The deadline is on 23 November and the South African Revenue Service (Sars) has warned that penalties will be levied on taxpayers who fail to submit their returns on time.
“Taxpayers must note that according to changes in legislation, Sars will levy penalties from 1 December 2021 where one or more returns are outstanding,” said the tax collector.
Before the change in the legislation, Sars could only levy penalties where two or more returns were outstanding.
The older rule will remain in place for one more year for 2020 and earlier returns.
To make the process easier, Sars sent out auto assessments that must either be edited or accepted as part of their assessments by 23 November.
“If they do not, they will receive an estimated assessment which they cannot object to or appeal,” said Sars.
But taxpayers who do not agree with the estimated assessment issued after 23 November, may file a complete and accurate tax return within 40 business days.
This return will be late, which means that normal penalties and interest for late submission will apply.
Sars Commissioner Edward Kieswetter said: “The filing of a tax return is a legal obligation for those taxpayers who are required to file and contributes towards a culture of voluntary compliance.
“But beyond the legal requirement to file a return, taxpayers who do the right thing are enabling the government to meet the basic service needs of the poor and vulnerable by providing social grants and health care, amongst others.”
The commissioner said Sars had provided a number of digital channels that are available 24/7.
This will help provide clarity and make it easy for taxpayers to meet the deadline of 23 November without any difficulty.
These channels include amongst others, Sars eFiling, Sars MobiApp and an SMS service.
Provisional taxpayers have until 31 January 2022 to fulfil all their filing obligations.